At a record high of 88 percent in March 2017, the Cloud Industry Forum said that the UK’s total cloud adoption rate had increased by 5 percent.
Traditionally, the financial services sector has been reluctant to use the cloud because of antiquated security concerns. The cloud is key to digital innovation, and financial services is considered one of the most dynamic and inventive businesses worldwide. At Payment Cloud Technologies (PCT), we feel this mentality no longer exists in today’s digital world.
23 percent of UK people believe the banking sector is leading the charge in digital innovation, according to new YouGov research. Faster-moving financial institutions that don’t live up to these expectations risk losing business to their more technologically advanced rivals.
So, there are companies who can use Fintech technologies such as regulatory technology and experience financial benefits.
Improve the capacity to adapt and grow-
The cloud enables banks to swiftly scale processing capacity up and down in response to changing market conditions and client needs on a worldwide scale. Competitiveness in today’s fast-paced environment, where customer-centric digital banks are gaining market share, requires the capacity to react quickly.
Scalability may be achieved quickly and easily with the help of the cloud. Scalability was cited by 65% of firms as the primary reason for their early use of cloud services, and some financial institutions have already achieved this benefit:
A bank has always been costly to start, grow, and operate. There was a need to build more data centers, as well as educate employees to manage them. As a result, new market entrants have not been able to challenge the monopoly of conventional high-street banks, which is a severe problem.
But cloud computing means that banks don’t have to spend much on specialized gear and software with a limited shelf life, nor do they have to employ the staff to maintain them. When it comes to cloud computing, financial institutions have the option of acquiring the infrastructure of a secure, specialized cloud service provider and focusing on increasing revenue.
In financial services, the cloud may assist to enhance efficiency ratios and operational leverage by streamlining the activities of financial institutions. Organizations that operate in several markets with a wide range of demographics and maintain a high degree of efficiency will find regulatory technology especially relevant.
The capacity to read and evaluate large amounts of market data is essential to this process. In the financial services industry, firms that do this successfully have the edge over their rivals by smoothly negotiating new technologies and advancements from that specific sector.